News & Events

The maritime trend highlights significant developments in global shipping and their potential impact on Malaysia. The December rally in freight rates, driven by ocean carriers' rate hikes and increased appetite for new tonnage, signals a shift in bargaining power ahead of 2025 contract negotiations. Malaysia, as a regional trading hub, must closely monitor these dynamics to remain competitive.

The increased container orders and charter rates could lead to higher logistics costs, directly affecting Malaysian exporters and importers. Additionally, the modest growth in Malaysia's market share in US imports underscores the need for targeted strategies to leverage China's declining dominance. Countries like Vietnam and Thailand have outperformed Malaysia, indicating room for improvement in capturing diverted trade.

Professional logisticians in Malaysia can adopt several measures.

- Optimise Supply Chains: Enhance efficiency to offset rising freight costs.

- Collaborate with Carriers: Negotiate favourable contracts in light of new shipping capacities.

- Leverage Regional Trade Agreements: Promote Malaysia as an attractive origin point for global trade.

- Invest in Infrastructure: Upgrade port facilities to handle increased volumes and attract transshipment cargo.

By addressing these challenges proactively, Malaysia can better adapt to evolving maritime trends and strengthen its position in global trade.

- Commented by Dato’ Logistician Chang Kah Loon 拿督曾家麟教授, FCILT, FLogM (Professor of Practice in Logistics and Chief Executive of AK Academy 勤 略 學 院) 

- From his page: https://www.facebook.com/share/p/15pB4WeNFw/?mibextid=wwXIfr